LIVE: UK finance minister Reeves sets out response to Iranian energy crisis

£150 energy bill discount from April

Households will receive £150 off energy bills starting next week, with the price cap extended until July to provide cost certainty ahead of winter months when 78% of gas is consumed.

Emergency heating oil support package

The government provided £53 million in rapid support after wholesale kerosene prices doubled overnight, targeting vulnerable households dependent on heating oil.

Pension increases and business rate relief

The state pension will rise by £575 next week alongside the removal of the two-child benefit limit, while businesses receive £4.3 billion in rate support and upcoming energy bill discounts through the British industrial competitiveness scheme.

Planning indemnities for critical projects

Reeves confirmed the government is developing options to back critical energy projects with indemnities if planning consent is challenged, stating that energy security is national security.

Oil field decisions pending regulatory review

Revised plans for Rosebank and Jackdaw oil fields—submitted by Shell and Equinor after court-ordered scope three emissions assessments—will be decided by autumn, with Jackdaw alone capable of supplying 1.5 million homes.

Small modular reactor advancement

The government is progressing with small modular reactor plans including the Wylfa site, contrasting with the previous government which Reeves noted allocated no funding to SMRs during 14 years in office.

Enhanced CMA anti-profiteering powers

New statutory powers denied by the previous government will be granted to the Competition and Markets Authority to detect and crack down on price gouging through a new anti-profiteering framework.

Fuel price transparency expansion

Over 90% of fuel retailers have signed up to the cheaper fuel finder service to help consumers avoid rip-off prices, with regulators chasing down the final non-compliant stations to reach 100% compliance.

Supermarket and financial sector engagement

The Chancellor will convene meetings with supermarkets and banks this week to discuss customer support, while the CMA monitors household essentials and launches a market study into heating oil costs.

Targeted support replacing blanket handouts

Reeves emphasized avoiding the previous government's £78 billion universal support approach, instead working with the DWP and local government to target assistance at those most in need while maintaining ironclad fiscal rules.

Doubled fiscal headroom for crisis response

The government claims to have increased fiscal headroom from less than £10 billion to nearly £24 billion through responsible management, enabling agile crisis response without risking inflation or interest rate spikes.

EU trade negotiations to reduce food prices

The UK aims to conclude sanitary and phytosanitary agreements with the EU this year to directly impact food prices, with officials reviewing targeted agri-food tariff reductions to balance consumer costs against domestic producer interests.